Ron Paul War Room

Dubai World Central – Cargo Gateway of the Middle East

>> March 19, 2009

Dubai has been a trading city for almost 200 years. The Creek has played a major role in the economic development achieved by Dubai. Since the early days, when Dubai was a center for pearl fishing and pearl trade, Dubai's trade development was attributed to the creek. While the discovery of oil in the sixties has been crucial to Dubai's development, trade still remains the heart of Dubai's business life, just as it has been for generations. Currently, the non-oil sector contributes more than 90 per cent to the economy.
Dubai's natural creek attracted traders from all over the world. Ships and dhows from the Gulf, Iran, the Indian subcontinent and even from European coasts called on Dubai. These ships laden with between 200 and 300 tons of cargo used to anchor at the creek to fulfill the needs of the local markets or for re-export purposes, emphasizing the historical position of Dubai as a center for regional trade. This tradition still continues due to its geographical location, mid-way among Europe, Asia, Africa and the Americas. Dubai has achieved an outstanding position as one of the world's most important transit hubs in a very short span of time.

Dubai Cargo Village (DCV) was built at a cost of $75 million in 1991 as a response to the growth in air and sea freight and to facilitate transshipment operations between the Indian sub-continent, South East Asia, the Far East and Europe. The central position of the UAE on the world map is a vital factor in the phenomenal success of the Dubai Cargo Village, as it has become an important fulcrum for the movement of cargo in the region. Due to its consistent performance with a positive, steady growth, its world-class facilities and effective administration, it is no surprise that DCV has earned the title of the Best Cargo Hub in the region (2007). The Dubai Cargo Village forms a gateway between the East and the West to a market of more than 1.5 billion consumers and is a purpose-built complex that has an annual freight handling capacity of 750.000 tons. The phenomenal growth of Dubai, the determined expansion of the Emirates Airline and the increased popularity of air cargo transportation has produced remarkable results, see below chart: Annual Freight Handling 1978 - 2005.


Cargo Gateway of the Middle East
When Dubai Cargo Village began 17 years ago, it was designed to handle 150.000 tons of cargo but within a few years the facility became too small for the burgeoning cargo demand. With currently 112 airlines coming into the Dubai International Airport (IATA code: DXB, ICAO code: OMDB), construction of the Mega Cargo Terminal is part of an expansion plan for Dubai Cargo Village and will be completed in four stages. In 2006, Dubai Cargo Village handled 1.3 million tons of cargo with steady growth of 15 percent per annum that is expected to go up even further after the inauguration of the brand new Mega Cargo Terminal. The Mega Cargo Terminal is currently under construction and is expected to open in different phases from 2007 onwards. The final phase of the Mega Terminal, which is estimated to be complete by 2018, will be built at a total cost of $200 million and will be able to offer a throughput capacity of 2.7 million tons of cargo per year.

Dubai Cargo Village contributes significantly to the UAE's economy because of the high amount of trade it brings in. Without such a facility Dubai would not be on the world trade map. The location next to the airport is very convenient. With world-class transport, communication and infrastructure, Dubai now handles redistribution activities within the region and worldwide. The cargo and freight forwarding industry has grown hand-in-hand with the city becoming a recognised hub and gateway, be it container throughput at any of its seaports or airfreight lifts at the Dubai Cargo Village. Dubai Cargo Village can turn around a fully laden Boeing 747 in 90 minutes and can complete sea-air handling in four hours. Dubai Cargo Village also works in tandem with other cargo-related institutions such as customs, Dnata, Emirates SkyCargo and the Dubai Ports Authority, which ensure that all processes run smoothly for timely and cost-effective movement of cargo. Dnata Cargo is the handling agent at Dubai Cargo Village, and because of the growth of Dnata Cargo and Emirates SkyCargo, Dubai Cargo Village is also slated to grow rapidly.

The latest built cargo facility, Dubai Logistics City in Jebel Ali has the potential of becoming the logistical centre of the UAE and is slated to handle 12 million tons of cargo per annum. Dubai Logistics City will be located near the Al Maktoum International Airport and adjacent to the Jebel Ali Port Free Zone. When completed, Al Maktoum International Airport will have the capacity to handle more cargo than Chicago's O'Hare Airport and London's Heathrow airport, while the Jebel Ali Port is already one of the world's largest container handlers. Dubai Logistics City, as part of Dubai World Central, will be an important landmark in the UAE and will further strengthen Dubai's position to become the premier logistical and cargo centre of the region.

Dubai World Central
Dubai World Central (DWC) is a 140 square kilometer planned residential, commercial and logistics infrastructure plan and will entice the world's first truly integrated logistics platform with all available transport modes, logistics and value added services. The project will also contain manufacturing, maintenance and assembly sites lifting DWC to a fully capable 'one-stop-shop' Maintenance, Repair and Overhaul (MRO) services facility for carriers across the globe, in a single bonded free zone environment. DWC is made up of the airport city components (Dubai Logistics City, Al Maktoum International Airport, Aviation City and the adjacent Jebel Ali Port and Free Zone) through a customs-bonded road corridor. Originally labelled 'Jebel Ali International Airport' and 'Jebel Ali Airport City', the official name for the estimated $80 to $90 billion project is 'Al Maktoum International Airport' (IATA code: DWC, ICAO code: OMJA). Al Maktoum International Airport will be the main project of Dubai World Central.

Designed for the future, Al Maktoum International Airport will handle all next-generation aircraft. The project master plan is fully dedicated in receiving and handling the largest passenger jet ever, the Airbus A380-800 super-jumbo. Up to four aircraft will be able to land simultaneously, 24 hours a day, minimizing local air congestion and queuing.

Al Maktoum International Airport will include:

  • 6 parallel runways, 4.5 kilometers in length, each separated by a distance of 800 meters
  • Three passenger terminals including two luxury facilities; one dedicated to airlines of the Emirates Group, the second to other carriers, and the third dedicated to low cost carriers
  • 6 concourses with a 91 meter high control tower that will be an aviation landmark in the Middle East
  • 16 cargo terminals with a 12 million ton capacity
  • Executive and Royal jet centers
  • Hotels and shopping malls
  • Support and maintenance facilities (the region's only hub for A, B, and C-checks on all aircraft up to A380 specifications)
  • Over 100.000 parking spaces for airport staff and passengers
Dubai's expectations of an exponential rise in passenger traffic over its skies is built on the presumption that it would become the ideal air hub for transiting travelers from the Asia-Pacific Region, South Asia, Greater Middle-east, Africa, Europe, and Australia (Kangaroo route). When fully built, Al Maktoum International Airport will be capable of handling 120 million passengers and 12 million tons of cargo annually. Its large runways and the distance between would allow simultaneous take-offs and landings. The airport shall initially service cargo airlines and will be used by foreign carriers only. Emirates Airlines operations (both passenger and cargo) will remain at Dubai International Airport (IATA code: DXB, ICAO code: OMDB), some 40km away.
Al Maktoum International Airport is surrounded by a large logistics hub (16 cargo terminals), an ultra-luxurious golf resort (with suburban housing interwoven between greens and fairways), an expansive trade and exhibition facility (3 million square meters of exhibition space), a massive commercial district and a spacious residential district. The trade and exhibition facility would become the world's largest single exhibition destination.

Dubai World Central creates a new benchmark in urban planning and destination living designed to support Dubai's aviation, tourism, commercial and logistics requirements until 2050 and represents one of the most important developments in the history of the United Arab Emirates. Eventually home to 900.000 people, DWC will be a true 'city-within-a-city' with all the amenities that make up a world-class residential destination. Next to Al Maktoum International Airport, the Dubai World Central project master plan comprises five other specialized clustered zones:

  • DWC Aviation City - will be the region's premier centre of excellence for aviation manufacturing, MRO, aviation support services and consultancy, research and development, training, aviation products and parts and high tech industries. It is unique concept to establish in one place a complete aviation cluster to cater to the growing aviation demand in the region. It is strategically located to provide clients access to emerging market as well as servicing the fast progressing market of Middle East
  • Dubai Logistics City (DLC) - will be part of the world's first truly integrated multi-modal logistics platform in a single-bonded free zone environment made up of DLC, Al Maktoum International Airport and Jebel Ali Port. It is designed as the region's unchallenged logistics hub catering to some two billion people throughout the Middle East, Indian Sub-continent, Africa and the CIS, all within three to four hours flying time from Dubai
  • DWC Commercial City - will be the business and finance hub featuring more than 850 towers, ranging from 1 to 45 storey's in height. The city, expected to employ 130.000 people, will also boast 25 hotels ranging from deluxe, through to five-star, four-star and three-star properties
  • DWC Residential City - will include a mix of five-ten storey mid-cost apartment blocks. Up to 250,000 people are expected to live in this 'city'. A special staff village will house blue-collar workers within high-quality accommodation
  • DWC Golf City - will feature two 18-hole golf courses, extensive practice facilities, driving ranges, putting greens, a luxury clubhouse with restaurants and a pro-shop. Over 5.000 freehold homes will surround the courses. The resort will also feature a high-end boutique hotel

When completed, Dubai's Al Maktoum International will be the biggest airport in the world. It will have an annual cargo capacity three times the size of today's largest cargo hub (Memphis), and a passenger capacity of almost double the world's busiest passenger airport (Hartsfield-Jackson Atlanta International Airport).

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Traditional Unit of Weight for Gold

1 troy ounce = 31.1034807 grams
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